M&A and VC activity In May 2007, CBS Corp. acquired Last.fm, a UK-based music community site that allows fans with similar tastes to connect, for $280 Million, in a bid to attract young audiences. Napster acquired AOL Music’s subscription service for $15 million in cash in January 2007. The acquisition gave Napster 350,000 subscribers of
SM: Sounds like Shockwave was a great place to experiment and learn! JW: During this time I built a friendship with the principal software architect of the project, Brad Edelman, who is now co-founder and CTO of PlayFirst. I also met three other great people who now work at PlayFirst. Unfortunately, Shockwave spent most of
Business Model Music sites primarily earn revenues from subscriptions, music downloads, advertisements and the different products sold through its sites. Most music sites are allowing downloads at approximately 99 cents per song and analysts say it is not enough to cover the costs. Currently most of the music sites are losing money. Napster (NAPS) and
SM: What is the business model of your company? JS: As I showed you, Sramana, we have 2 different business models, one a fee-for-service model that has a consistent, recurring revenue stream, and a revenue-share, ad-based model, which is more consistent with the lighter implementation of our products that I demoed for you. SM: What
Business Model Most women’s sites earn money mainly from ad revenues, and also from subscriptions and products sold through their sites. According to comScore Media Metrix, advertisement revenues for the women’s sites are forecasted to grow at 19% in 2007 but iVillage has grown its ad revenues by 46% in 1Q 2007 and 40% in
By Jörg Überla, Guest Author [Note: Jorg reports from Germany on the European Online Jobs scene. Evidently, a lot of Concept Arbitrage under way on the other side of the Atlantic.] Regarding the marketing and financial power of large recruitment sites like Monster, it seems hard to establish competitors. But the opposite is true, at
Here we begin to explore the current status of Zoho a bit further. Impressive numbers considering there has been no advertising campaigns conducted. The business model is simple – let users try the service for free, when they are comfortable they will migrate over. Afterwards, they compete based on pricing (less than 20% of the
Interesting comparisons here by Sridhar between the Zoho CRM and the SalesForce CRM products; while SalesForce has a high focus on sales teams (and one of the best telesales teams anywhere in the world), Zoho is simply looking to take a competitive advantage in terms of pricing. According to Sridhar this shows in the construct